The US Avellana Gold filed a project with the state regulatory agency for the extraction of gold and gold-polymetallic ore in TransCarpathian of Ukraine worth USD 100mln, according to StateGeoCadastre. The company plans to create a new infrastructure and has a development strategy with a use of modern equipment for the Muzhyievske mine field. Total projected capacity of the mine is at 120 000tons a year under the existing infrastructure of the Muzhyievske mine field.
The US investors propose to mount an efficient production line to increase the output up to annual 500 000tons in the long run. For this purpose, Avellana Gold will combine mining of both gold and gold-polymetallic ores simultaneously implementing new extraction strategy for the mine field. The head of the investor company is Brian C Savage who is currently chairman of Pioneer Management LLC, a privately held company he founded to advise and invest in natural resource projects and companies.
Avellana Gold has a representative office in Ukraine managed by the former chief engineer of the mining company in TranCarpathian region in Ukraine.
